Merge pull request #2671 from Infisical/daniel/hsm

feat: hardware security module's support
2026-09-22 13:39:35 +00:00 · 2024-11-11 15:38:02 -07:00
parent 0e946f73bd f22a5580a6
commit 17d5e4bdab
36 changed files with 1467 additions and 111 deletions
--- a/.github/workflows/release-standalone-docker-img-postgres-offical.yml
+++ b/.github/workflows/release-standalone-docker-img-postgres-offical.yml
@@ -1,62 +1,115 @@
 name: Release standalone docker image
 on:
-  push:
-    tags:
-      - "infisical/v*.*.*-postgres"
+    push:
+        tags:
+            - "infisical/v*.*.*-postgres"

 jobs:
-  infisical-tests:
-    name: Run tests before deployment
-    # https://docs.github.com/en/actions/using-workflows/reusing-workflows#overview
-    uses: ./.github/workflows/run-backend-tests.yml
-  infisical-standalone:
-    name: Build infisical standalone image postgres
-    runs-on: ubuntu-latest
-    needs: [infisical-tests]
-    steps:
-      - name: Extract version from tag
-        id: extract_version
-        run: echo "::set-output name=version::${GITHUB_REF_NAME#infisical/}"
-      - name: ☁️ Checkout source
-        uses: actions/checkout@v3
-        with:
-          fetch-depth: 0
-      - name: 📦 Install dependencies to test all dependencies
-        run: npm ci --only-production
-        working-directory: backend
-      - name: version output
-        run: |
-          echo "Output Value: ${{ steps.version.outputs.major }}"
-          echo "Output Value: ${{ steps.version.outputs.minor }}"
-          echo "Output Value: ${{ steps.version.outputs.patch }}"
-          echo "Output Value: ${{ steps.version.outputs.version }}"
-          echo "Output Value: ${{ steps.version.outputs.version_type }}"
-          echo "Output Value: ${{ steps.version.outputs.increment }}"
-      - name: Save commit hashes for tag
-        id: commit
-        uses: pr-mpt/actions-commit-hash@v2
-      - name: 🔧 Set up Docker Buildx
-        uses: docker/setup-buildx-action@v2
-      - name: 🐋 Login to Docker Hub
-        uses: docker/login-action@v2
-        with:
-          username: ${{ secrets.DOCKERHUB_USERNAME }}
-          password: ${{ secrets.DOCKERHUB_TOKEN }}
-      - name: Set up Depot CLI
-        uses: depot/setup-action@v1
-      - name: 📦 Build backend and export to Docker
-        uses: depot/build-push-action@v1
-        with:
-          project: 64mmf0n610
-          token: ${{ secrets.DEPOT_PROJECT_TOKEN }}
-          push: true
-          context: .
-          tags: |
-            infisical/infisical:latest-postgres
-            infisical/infisical:${{ steps.commit.outputs.short }}
-            infisical/infisical:${{ steps.extract_version.outputs.version }}
-          platforms: linux/amd64,linux/arm64
-          file: Dockerfile.standalone-infisical
-          build-args: |
-            POSTHOG_API_KEY=${{ secrets.PUBLIC_POSTHOG_API_KEY }}
-            INFISICAL_PLATFORM_VERSION=${{ steps.extract_version.outputs.version }}
+    infisical-tests:
+        name: Run tests before deployment
+        # https://docs.github.com/en/actions/using-workflows/reusing-workflows#overview
+        uses: ./.github/workflows/run-backend-tests.yml
+
+    infisical-standalone:
+        name: Build infisical standalone image postgres
+        runs-on: ubuntu-latest
+        needs: [infisical-tests]
+        steps:
+            - name: Extract version from tag
+              id: extract_version
+              run: echo "::set-output name=version::${GITHUB_REF_NAME#infisical/}"
+            - name: ☁️ Checkout source
+              uses: actions/checkout@v3
+              with:
+                  fetch-depth: 0
+            - name: 📦 Install dependencies to test all dependencies
+              run: npm ci --only-production
+              working-directory: backend
+            - name: version output
+              run: |
+                  echo "Output Value: ${{ steps.version.outputs.major }}"
+                  echo "Output Value: ${{ steps.version.outputs.minor }}"
+                  echo "Output Value: ${{ steps.version.outputs.patch }}"
+                  echo "Output Value: ${{ steps.version.outputs.version }}"
+                  echo "Output Value: ${{ steps.version.outputs.version_type }}"
+                  echo "Output Value: ${{ steps.version.outputs.increment }}"
+            - name: Save commit hashes for tag
+              id: commit
+              uses: pr-mpt/actions-commit-hash@v2
+            - name: 🔧 Set up Docker Buildx
+              uses: docker/setup-buildx-action@v2
+            - name: 🐋 Login to Docker Hub
+              uses: docker/login-action@v2
+              with:
+                  username: ${{ secrets.DOCKERHUB_USERNAME }}
+                  password: ${{ secrets.DOCKERHUB_TOKEN }}
+            - name: Set up Depot CLI
+              uses: depot/setup-action@v1
+            - name: 📦 Build backend and export to Docker
+              uses: depot/build-push-action@v1
+              with:
+                  project: 64mmf0n610
+                  token: ${{ secrets.DEPOT_PROJECT_TOKEN }}
+                  push: true
+                  context: .
+                  tags: |
+                      infisical/infisical:latest-postgres
+                      infisical/infisical:${{ steps.commit.outputs.short }}
+                      infisical/infisical:${{ steps.extract_version.outputs.version }}
+                  platforms: linux/amd64,linux/arm64
+                  file: Dockerfile.standalone-infisical
+                  build-args: |
+                      POSTHOG_API_KEY=${{ secrets.PUBLIC_POSTHOG_API_KEY }}
+                      INFISICAL_PLATFORM_VERSION=${{ steps.extract_version.outputs.version }}
+
+    infisical-fips-standalone:
+        name: Build infisical standalone image postgres
+        runs-on: ubuntu-latest
+        needs: [infisical-tests]
+        steps:
+            - name: Extract version from tag
+              id: extract_version
+              run: echo "::set-output name=version::${GITHUB_REF_NAME#infisical/}"
+            - name: ☁️ Checkout source
+              uses: actions/checkout@v3
+              with:
+                  fetch-depth: 0
+            - name: 📦 Install dependencies to test all dependencies
+              run: npm ci --only-production
+              working-directory: backend
+            - name: version output
+              run: |
+                  echo "Output Value: ${{ steps.version.outputs.major }}"
+                  echo "Output Value: ${{ steps.version.outputs.minor }}"
+                  echo "Output Value: ${{ steps.version.outputs.patch }}"
+                  echo "Output Value: ${{ steps.version.outputs.version }}"
+                  echo "Output Value: ${{ steps.version.outputs.version_type }}"
+                  echo "Output Value: ${{ steps.version.outputs.increment }}"
+            - name: Save commit hashes for tag
+              id: commit
+              uses: pr-mpt/actions-commit-hash@v2
+            - name: 🔧 Set up Docker Buildx
+              uses: docker/setup-buildx-action@v2
+            - name: 🐋 Login to Docker Hub
+              uses: docker/login-action@v2
+              with:
+                  username: ${{ secrets.DOCKERHUB_USERNAME }}
+                  password: ${{ secrets.DOCKERHUB_TOKEN }}
+            - name: Set up Depot CLI
+              uses: depot/setup-action@v1
+            - name: 📦 Build backend and export to Docker
+              uses: depot/build-push-action@v1
+              with:
+                  project: 64mmf0n610
+                  token: ${{ secrets.DEPOT_PROJECT_TOKEN }}
+                  push: true
+                  context: .
+                  tags: |
+                      infisical/infisical-fips:latest-postgres
+                      infisical/infisical-fips:${{ steps.commit.outputs.short }}
+                      infisical/infisical-fips:${{ steps.extract_version.outputs.version }}
+                  platforms: linux/amd64,linux/arm64
+                  file: Dockerfile.fips.standalone-infisical
+                  build-args: |
+                      POSTHOG_API_KEY=${{ secrets.PUBLIC_POSTHOG_API_KEY }}
+                      INFISICAL_PLATFORM_VERSION=${{ steps.extract_version.outputs.version }}
--- a/.infisicalignore
+++ b/.infisicalignore
@@ -6,3 +6,4 @@ frontend/src/views/Project/MembersPage/components/MemberListTab/MemberRoleForm/S
 docs/self-hosting/configuration/envars.mdx:generic-api-key:106
 frontend/src/views/Project/MembersPage/components/MemberListTab/MemberRoleForm/SpecificPrivilegeSection.tsx:generic-api-key:451
 docs/mint.json:generic-api-key:651
+backend/src/ee/services/hsm/hsm-service.ts:generic-api-key:134
--- a/Dockerfile.fips.standalone-infisical
+++ b/Dockerfile.fips.standalone-infisical
@@ -0,0 +1,167 @@
+ARG POSTHOG_HOST=https://app.posthog.com
+ARG POSTHOG_API_KEY=posthog-api-key
+ARG INTERCOM_ID=intercom-id
+ARG CAPTCHA_SITE_KEY=captcha-site-key
+
+FROM node:20-slim AS base
+
+FROM base AS frontend-dependencies
+WORKDIR /app
+
+COPY frontend/package.json frontend/package-lock.json frontend/next.config.js ./
+
+# Install dependencies
+RUN npm ci --only-production --ignore-scripts
+
+# Rebuild the source code only when needed
+FROM base AS frontend-builder
+WORKDIR /app
+
+# Copy dependencies
+COPY --from=frontend-dependencies /app/node_modules ./node_modules
+# Copy all files 
+COPY /frontend .
+
+ENV NODE_ENV production
+ENV NEXT_PUBLIC_ENV production
+ARG POSTHOG_HOST
+ENV NEXT_PUBLIC_POSTHOG_HOST $POSTHOG_HOST
+ARG POSTHOG_API_KEY
+ENV NEXT_PUBLIC_POSTHOG_API_KEY $POSTHOG_API_KEY
+ARG INTERCOM_ID
+ENV NEXT_PUBLIC_INTERCOM_ID $INTERCOM_ID
+ARG INFISICAL_PLATFORM_VERSION
+ENV NEXT_PUBLIC_INFISICAL_PLATFORM_VERSION $INFISICAL_PLATFORM_VERSION
+ARG CAPTCHA_SITE_KEY
+ENV NEXT_PUBLIC_CAPTCHA_SITE_KEY $CAPTCHA_SITE_KEY 
+
+# Build
+RUN npm run build
+
+# Production image
+FROM base AS frontend-runner
+WORKDIR /app
+
+RUN groupadd -r -g 1001 nodejs && useradd -r -u 1001 -g nodejs non-root-user
+
+RUN mkdir -p /app/.next/cache/images && chown non-root-user:nodejs /app/.next/cache/images
+VOLUME /app/.next/cache/images
+
+COPY --chown=non-root-user:nodejs --chmod=555 frontend/scripts ./scripts
+COPY --from=frontend-builder /app/public ./public
+RUN chown non-root-user:nodejs ./public/data
+
+COPY --from=frontend-builder --chown=non-root-user:nodejs /app/.next/standalone ./
+COPY --from=frontend-builder --chown=non-root-user:nodejs /app/.next/static ./.next/static
+
+USER non-root-user
+
+ENV NEXT_TELEMETRY_DISABLED 1
+
+##
+## BACKEND
+##
+FROM base AS backend-build
+
+ENV ChrystokiConfigurationPath=/usr/safenet/lunaclient/
+
+RUN groupadd -r -g 1001 nodejs && useradd -r -u 1001 -g nodejs non-root-user
+
+WORKDIR /app
+
+# Required for pkcs11js
+RUN apt-get update && apt-get install -y \
+    python3 \
+    make \
+    g++ \
+    && rm -rf /var/lib/apt/lists/*
+
+COPY backend/package*.json ./
+RUN npm ci --only-production
+
+COPY /backend .
+COPY --chown=non-root-user:nodejs standalone-entrypoint.sh standalone-entrypoint.sh
+RUN npm i -D tsconfig-paths
+RUN npm run build
+
+# Production stage
+FROM base AS backend-runner
+
+ENV ChrystokiConfigurationPath=/usr/safenet/lunaclient/
+
+WORKDIR /app
+
+# Required for pkcs11js
+RUN apt-get update && apt-get install -y \
+    python3 \
+    make \
+    g++ \
+    && rm -rf /var/lib/apt/lists/*
+
+COPY backend/package*.json ./
+RUN npm ci --only-production
+
+COPY --from=backend-build /app .
+
+RUN mkdir frontend-build
+
+# Production stage
+FROM base AS production
+
+# Install necessary packages
+RUN apt-get update && apt-get install -y \
+    ca-certificates \
+    curl \
+    git \
+    && rm -rf /var/lib/apt/lists/*
+
+# Install Infisical CLI
+RUN curl -1sLf 'https://dl.cloudsmith.io/public/infisical/infisical-cli/setup.deb.sh' | bash \
+    && apt-get update && apt-get install -y infisical=0.31.1 \
+    && rm -rf /var/lib/apt/lists/*
+
+RUN groupadd -r -g 1001 nodejs && useradd -r -u 1001 -g nodejs non-root-user
+
+# Give non-root-user permission to update SSL certs
+RUN chown -R non-root-user /etc/ssl/certs
+RUN chown non-root-user /etc/ssl/certs/ca-certificates.crt
+RUN chmod -R u+rwx /etc/ssl/certs
+RUN chmod u+rw /etc/ssl/certs/ca-certificates.crt
+RUN chown non-root-user /usr/sbin/update-ca-certificates
+RUN chmod u+rx /usr/sbin/update-ca-certificates
+
+## set pre baked keys
+ARG POSTHOG_API_KEY
+ENV NEXT_PUBLIC_POSTHOG_API_KEY=$POSTHOG_API_KEY \
+    BAKED_NEXT_PUBLIC_POSTHOG_API_KEY=$POSTHOG_API_KEY
+ARG INTERCOM_ID=intercom-id
+ENV NEXT_PUBLIC_INTERCOM_ID=$INTERCOM_ID \
+    BAKED_NEXT_PUBLIC_INTERCOM_ID=$INTERCOM_ID
+ARG CAPTCHA_SITE_KEY
+ENV NEXT_PUBLIC_CAPTCHA_SITE_KEY=$CAPTCHA_SITE_KEY \
+    BAKED_NEXT_PUBLIC_CAPTCHA_SITE_KEY=$CAPTCHA_SITE_KEY
+
+WORKDIR / 
+
+COPY --from=backend-runner /app /backend
+
+COPY --from=frontend-runner /app ./backend/frontend-build
+
+ENV PORT 8080
+ENV HOST=0.0.0.0
+ENV HTTPS_ENABLED false 
+ENV NODE_ENV production
+ENV STANDALONE_BUILD true 
+ENV STANDALONE_MODE true
+ENV ChrystokiConfigurationPath=/usr/safenet/lunaclient/
+
+WORKDIR /backend
+
+ENV TELEMETRY_ENABLED true
+
+EXPOSE 8080
+EXPOSE 443
+
+USER non-root-user
+
+CMD ["./standalone-entrypoint.sh"]
--- a/Dockerfile.standalone-infisical
+++ b/Dockerfile.standalone-infisical
@@ -72,6 +72,9 @@ RUN addgroup --system --gid 1001 nodejs \

 WORKDIR /app

+# Required for pkcs11js
+RUN apk add --no-cache python3 make g++ 
+
 COPY backend/package*.json ./
 RUN npm ci --only-production

@@ -85,6 +88,9 @@ FROM base AS backend-runner

 WORKDIR /app

+# Required for pkcs11js
+RUN apk add --no-cache python3 make g++ 
+
 COPY backend/package*.json ./
 RUN npm ci --only-production

--- a/backend/Dockerfile
+++ b/backend/Dockerfile
@@ -3,6 +3,12 @@ FROM node:20-alpine AS build

 WORKDIR /app

+# Required for pkcs11js
+RUN apk --update add \
+        python3 \
+        make \
+        g++
+
 COPY package*.json ./
 RUN npm ci --only-production

@@ -11,12 +17,17 @@ RUN npm run build

 # Production stage
 FROM node:20-alpine
-
 WORKDIR /app

 ENV npm_config_cache /home/node/.npm

 COPY package*.json ./
+
+RUN apk --update add \
+        python3 \
+        make \
+        g++
+
 RUN npm ci --only-production && npm cache clean --force

 COPY --from=build /app .
--- a/backend/Dockerfile.dev
+++ b/backend/Dockerfile.dev
@@ -1,5 +1,44 @@
 FROM node:20-alpine

+# ? Setup a test SoftHSM module. In production a real HSM is used.
+
+ARG SOFTHSM2_VERSION=2.5.0
+
+ENV SOFTHSM2_VERSION=${SOFTHSM2_VERSION} \
+    SOFTHSM2_SOURCES=/tmp/softhsm2
+
+# install build dependencies including python3
+RUN apk --update add \
+        alpine-sdk \
+        autoconf \
+        automake \
+        git \
+        libtool \
+        openssl-dev \
+        python3 \
+        make \
+        g++
+
+# build and install SoftHSM2
+RUN git clone https://github.com/opendnssec/SoftHSMv2.git ${SOFTHSM2_SOURCES}
+WORKDIR ${SOFTHSM2_SOURCES}
+
+RUN git checkout ${SOFTHSM2_VERSION} -b ${SOFTHSM2_VERSION} \
+    && sh autogen.sh \
+    && ./configure --prefix=/usr/local --disable-gost \
+    && make \
+    && make install
+
+WORKDIR /root
+RUN rm -fr ${SOFTHSM2_SOURCES}
+
+# install pkcs11-tool
+RUN apk --update add opensc
+
+RUN softhsm2-util --init-token --slot 0 --label "auth-app" --pin 1234 --so-pin 0000
+
+# ? App setup
+
 RUN apk add --no-cache bash curl && curl -1sLf \
  'https://dl.cloudsmith.io/public/infisical/infisical-cli/setup.alpine.sh' | bash \
  && apk add infisical=0.8.1 && apk add --no-cache git
--- a/backend/e2e-test/vitest-environment-knex.ts
+++ b/backend/e2e-test/vitest-environment-knex.ts
@@ -16,6 +16,7 @@ import { initDbConnection } from "@app/db";
 import { queueServiceFactory } from "@app/queue";
 import { keyStoreFactory } from "@app/keystore/keystore";
 import { Redis } from "ioredis";
+import { initializeHsmModule } from "@app/ee/services/hsm/hsm-fns";

 dotenv.config({ path: path.join(__dirname, "../../.env.test"), debug: true });
 export default {
@@ -54,7 +55,12 @@ export default {
      const smtp = mockSmtpServer();
      const queue = queueServiceFactory(cfg.REDIS_URL);
      const keyStore = keyStoreFactory(cfg.REDIS_URL);
-      const server = await main({ db, smtp, logger, queue, keyStore });
+
+      const hsmModule = initializeHsmModule();
+      hsmModule.initialize();
+
+      const server = await main({ db, smtp, logger, queue, keyStore, hsmModule: hsmModule.getModule() });
+
      // @ts-expect-error type
      globalThis.testServer = server;
      // @ts-expect-error type
--- a/backend/package-lock.json
+++ b/backend/package-lock.json
@@ -83,6 +83,7 @@
        "pg-query-stream": "^4.5.3",
        "picomatch": "^3.0.1",
        "pino": "^8.16.2",
+        "pkcs11js": "^2.1.6",
        "pkijs": "^3.2.4",
        "posthog-node": "^3.6.2",
        "probot": "^13.3.8",
@@ -120,6 +121,7 @@
        "@types/passport-google-oauth20": "^2.0.14",
        "@types/pg": "^8.10.9",
        "@types/picomatch": "^2.3.3",
+        "@types/pkcs11js": "^1.0.4",
        "@types/prompt-sync": "^4.2.3",
        "@types/resolve": "^1.20.6",
        "@types/safe-regex": "^1.1.6",
@@ -8830,6 +8832,17 @@
      "integrity": "sha512-Yll76ZHikRFCyz/pffKGjrCwe/le2CDwOP5F210KQo27kpRE46U2rDnzikNlVn6/ezH3Mhn46bJMTfeVTtcYMg==",
      "dev": true
    },
+    "node_modules/@types/pkcs11js": {
+      "version": "1.0.4",
+      "resolved": "https://registry.npmjs.org/@types/pkcs11js/-/pkcs11js-1.0.4.tgz",
+      "integrity": "sha512-Pkq8VbwZZv7o/6ODFOhxw0s0M8J4ucg4/I4V1dSCn8tUwWgIKIYzuV4Pp2fYuir81DgQXAF5TpGyhBMjJ3FjFw==",
+      "deprecated": "This is a stub types definition for pkcs11js (https://github.com/PeculiarVentures/pkcs11js). pkcs11js provides its own type definitions, so you don't need @types/pkcs11js installed!",
+      "dev": true,
+      "license": "MIT",
+      "dependencies": {
+        "pkcs11js": "*"
+      }
+    },
    "node_modules/@types/prompt-sync": {
      "version": "4.2.3",
      "resolved": "https://registry.npmjs.org/@types/prompt-sync/-/prompt-sync-4.2.3.tgz",
@@ -17066,6 +17079,20 @@
        "node": ">= 6"
      }
    },
+    "node_modules/pkcs11js": {
+      "version": "2.1.6",
+      "resolved": "https://registry.npmjs.org/pkcs11js/-/pkcs11js-2.1.6.tgz",
+      "integrity": "sha512-+t5jxzB749q8GaEd1yNx3l98xYuaVK6WW/Vjg1Mk1Iy5bMu/A5W4O/9wZGrpOknWF6lFQSb12FXX+eSNxdriwA==",
+      "hasInstallScript": true,
+      "license": "MIT",
+      "engines": {
+        "node": ">=18.0.0"
+      },
+      "funding": {
+        "type": "github",
+        "url": "https://github.com/sponsors/PeculiarVentures"
+      }
+    },
    "node_modules/pkg-conf": {
      "version": "3.1.0",
      "resolved": "https://registry.npmjs.org/pkg-conf/-/pkg-conf-3.1.0.tgz",
@@ -19761,9 +19788,10 @@
      }
    },
    "node_modules/tslib": {
-      "version": "2.6.3",
-      "resolved": "https://registry.npmjs.org/tslib/-/tslib-2.6.3.tgz",
-      "integrity": "sha512-xNvxJEOUiWPGhUuUdQgAJPKOOJfGnIyKySOc09XkKsgdUV/3E2zvwZYdejjmRgPCgcym1juLH3226yA7sEFJKQ=="
+      "version": "2.8.0",
+      "resolved": "https://registry.npmjs.org/tslib/-/tslib-2.8.0.tgz",
+      "integrity": "sha512-jWVzBLplnCmoaTr13V9dYbiQ99wvZRd0vNWaDRg+aVYRcjDF3nDksxFDE/+fkXnKhpnUUkmx5pK/v8mCtLVqZA==",
+      "license": "0BSD"
    },
    "node_modules/tsup": {
      "version": "8.0.1",
--- a/backend/package.json
+++ b/backend/package.json
@@ -84,6 +84,7 @@
    "@types/passport-google-oauth20": "^2.0.14",
    "@types/pg": "^8.10.9",
    "@types/picomatch": "^2.3.3",
+    "@types/pkcs11js": "^1.0.4",
    "@types/prompt-sync": "^4.2.3",
    "@types/resolve": "^1.20.6",
    "@types/safe-regex": "^1.1.6",
@@ -188,6 +189,7 @@
    "pg-query-stream": "^4.5.3",
    "picomatch": "^3.0.1",
    "pino": "^8.16.2",
+    "pkcs11js": "^2.1.6",
    "pkijs": "^3.2.4",
    "posthog-node": "^3.6.2",
    "probot": "^13.3.8",
--- a/backend/src/@types/fastify.d.ts
+++ b/backend/src/@types/fastify.d.ts
@@ -44,6 +44,7 @@ import { TCmekServiceFactory } from "@app/services/cmek/cmek-service";
 import { TExternalGroupOrgRoleMappingServiceFactory } from "@app/services/external-group-org-role-mapping/external-group-org-role-mapping-service";
 import { TExternalMigrationServiceFactory } from "@app/services/external-migration/external-migration-service";
 import { TGroupProjectServiceFactory } from "@app/services/group-project/group-project-service";
+import { THsmServiceFactory } from "@app/services/hsm/hsm-service";
 import { TIdentityServiceFactory } from "@app/services/identity/identity-service";
 import { TIdentityAccessTokenServiceFactory } from "@app/services/identity-access-token/identity-access-token-service";
 import { TIdentityAwsAuthServiceFactory } from "@app/services/identity-aws-auth/identity-aws-auth-service";
@@ -184,6 +185,7 @@ declare module "fastify" {
      rateLimit: TRateLimitServiceFactory;
      userEngagement: TUserEngagementServiceFactory;
      externalKms: TExternalKmsServiceFactory;
+      hsm: THsmServiceFactory;
      orgAdmin: TOrgAdminServiceFactory;
      slack: TSlackServiceFactory;
      workflowIntegration: TWorkflowIntegrationServiceFactory;
--- a/backend/src/db/migrations/20241111175154_kms-root-cfg-hsm.ts
+++ b/backend/src/db/migrations/20241111175154_kms-root-cfg-hsm.ts
@@ -0,0 +1,23 @@
+import { Knex } from "knex";
+
+import { TableName } from "../schemas";
+
+export async function up(knex: Knex): Promise<void> {
+  const hasEncryptionStrategy = await knex.schema.hasColumn(TableName.KmsServerRootConfig, "encryptionStrategy");
+  const hasTimestampsCol = await knex.schema.hasColumn(TableName.KmsServerRootConfig, "createdAt");
+
+  await knex.schema.alterTable(TableName.KmsServerRootConfig, (t) => {
+    if (!hasEncryptionStrategy) t.string("encryptionStrategy").defaultTo("SOFTWARE");
+    if (!hasTimestampsCol) t.timestamps(true, true, true);
+  });
+}
+
+export async function down(knex: Knex): Promise<void> {
+  const hasEncryptionStrategy = await knex.schema.hasColumn(TableName.KmsServerRootConfig, "encryptionStrategy");
+  const hasTimestampsCol = await knex.schema.hasColumn(TableName.KmsServerRootConfig, "createdAt");
+
+  await knex.schema.alterTable(TableName.KmsServerRootConfig, (t) => {
+    if (hasEncryptionStrategy) t.dropColumn("encryptionStrategy");
+    if (hasTimestampsCol) t.dropTimestamps(true);
+  });
+}
--- a/backend/src/db/schemas/kms-root-config.ts
+++ b/backend/src/db/schemas/kms-root-config.ts
@@ -11,7 +11,10 @@ import { TImmutableDBKeys } from "./models";

 export const KmsRootConfigSchema = z.object({
  id: z.string().uuid(),
-  encryptedRootKey: zodBuffer
+  encryptedRootKey: zodBuffer,
+  encryptionStrategy: z.string(),
+  createdAt: z.date(),
+  updatedAt: z.date()
 });

 export type TKmsRootConfig = z.infer<typeof KmsRootConfigSchema>;
--- a/backend/src/ee/services/hsm/hsm-fns.ts
+++ b/backend/src/ee/services/hsm/hsm-fns.ts
@@ -0,0 +1,58 @@
+import * as pkcs11js from "pkcs11js";
+
+import { getConfig } from "@app/lib/config/env";
+import { logger } from "@app/lib/logger";
+
+import { HsmModule } from "./hsm-types";
+
+export const initializeHsmModule = () => {
+  const appCfg = getConfig();
+
+  // Create a new instance of PKCS11 module
+  const pkcs11 = new pkcs11js.PKCS11();
+  let isInitialized = false;
+
+  const initialize = () => {
+    if (!appCfg.isHsmConfigured) {
+      return;
+    }
+
+    try {
+      // Load the PKCS#11 module
+      pkcs11.load(appCfg.HSM_LIB_PATH!);
+
+      // Initialize the module
+      pkcs11.C_Initialize();
+      isInitialized = true;
+
+      logger.info("PKCS#11 module initialized");
+    } catch (err) {
+      logger.error("Failed to initialize PKCS#11 module:", err);
+      throw err;
+    }
+  };
+
+  const finalize = () => {
+    if (isInitialized) {
+      try {
+        pkcs11.C_Finalize();
+        isInitialized = false;
+        logger.info("PKCS#11 module finalized");
+      } catch (err) {
+        logger.error("Failed to finalize PKCS#11 module:", err);
+        throw err;
+      }
+    }
+  };
+
+  const getModule = (): HsmModule => ({
+    pkcs11,
+    isInitialized
+  });
+
+  return {
+    initialize,
+    finalize,
+    getModule
+  };
+};
--- a/backend/src/ee/services/hsm/hsm-service.ts
+++ b/backend/src/ee/services/hsm/hsm-service.ts
@@ -0,0 +1,470 @@
+import pkcs11js from "pkcs11js";
+
+import { getConfig } from "@app/lib/config/env";
+import { logger } from "@app/lib/logger";
+
+import { HsmKeyType, HsmModule } from "./hsm-types";
+
+type THsmServiceFactoryDep = {
+  hsmModule: HsmModule;
+};
+
+export type THsmServiceFactory = ReturnType<typeof hsmServiceFactory>;
+
+type SyncOrAsync<T> = T | Promise<T>;
+type SessionCallback<T> = (session: pkcs11js.Handle) => SyncOrAsync<T>;
+
+// eslint-disable-next-line no-empty-pattern
+export const hsmServiceFactory = ({ hsmModule: { isInitialized, pkcs11 } }: THsmServiceFactoryDep) => {
+  const appCfg = getConfig();
+
+  // Constants for buffer structures
+  const IV_LENGTH = 16; // Luna HSM typically expects 16-byte IV for cbc
+  const BLOCK_SIZE = 16;
+  const HMAC_SIZE = 32;
+
+  const AES_KEY_SIZE = 256;
+  const HMAC_KEY_SIZE = 256;
+
+  const $withSession = async <T>(callbackWithSession: SessionCallback<T>): Promise<T> => {
+    const RETRY_INTERVAL = 200; // 200ms between attempts
+    const MAX_TIMEOUT = 90_000; // 90 seconds maximum total time
+
+    let sessionHandle: pkcs11js.Handle | null = null;
+
+    const removeSession = () => {
+      if (sessionHandle !== null) {
+        try {
+          pkcs11.C_Logout(sessionHandle);
+          pkcs11.C_CloseSession(sessionHandle);
+          logger.info("HSM: Terminated session successfully");
+        } catch (error) {
+          logger.error(error, "HSM: Failed to terminate session");
+        } finally {
+          sessionHandle = null;
+        }
+      }
+    };
+
+    try {
+      if (!pkcs11 || !isInitialized) {
+        throw new Error("PKCS#11 module is not initialized");
+      }
+
+      // Get slot list
+      let slots: pkcs11js.Handle[];
+      try {
+        slots = pkcs11.C_GetSlotList(false); // false to get all slots
+      } catch (error) {
+        throw new Error(`Failed to get slot list: ${(error as Error)?.message}`);
+      }
+
+      if (slots.length === 0) {
+        throw new Error("No slots available");
+      }
+
+      if (appCfg.HSM_SLOT >= slots.length) {
+        throw new Error(`HSM slot ${appCfg.HSM_SLOT} not found or not initialized`);
+      }
+
+      const slotId = slots[appCfg.HSM_SLOT];
+
+      const startTime = Date.now();
+      while (Date.now() - startTime < MAX_TIMEOUT) {
+        try {
+          // Open session
+          // eslint-disable-next-line no-bitwise
+          sessionHandle = pkcs11.C_OpenSession(slotId, pkcs11js.CKF_SERIAL_SESSION | pkcs11js.CKF_RW_SESSION);
+
+          // Login
+          try {
+            pkcs11.C_Login(sessionHandle, pkcs11js.CKU_USER, appCfg.HSM_PIN);
+            logger.info("HSM: Successfully authenticated");
+            break;
+          } catch (error) {
+            // Handle specific error cases
+            if (error instanceof pkcs11js.Pkcs11Error) {
+              if (error.code === pkcs11js.CKR_PIN_INCORRECT) {
+                // We throw instantly here to prevent further attempts, because if too many attempts are made, the HSM will potentially wipe all key material
+                logger.error(error, `HSM: Incorrect PIN detected for HSM slot ${appCfg.HSM_SLOT}`);
+                throw new Error("HSM: Incorrect HSM Pin detected. Please check the HSM configuration.");
+              }
+              if (error.code === pkcs11js.CKR_USER_ALREADY_LOGGED_IN) {
+                logger.warn("HSM: Session already logged in");
+              }
+            }
+            throw error; // Re-throw other errors
+          }
+        } catch (error) {
+          logger.warn(`HSM: Session creation failed. Retrying... Error: ${(error as Error)?.message}`);
+
+          if (sessionHandle !== null) {
+            try {
+              pkcs11.C_CloseSession(sessionHandle);
+            } catch (closeError) {
+              logger.error(closeError, "HSM: Failed to close session");
+            }
+            sessionHandle = null;
+          }
+
+          // Wait before retrying
+          // eslint-disable-next-line no-await-in-loop
+          await new Promise((resolve) => {
+            setTimeout(resolve, RETRY_INTERVAL);
+          });
+        }
+      }
+
+      if (sessionHandle === null) {
+        throw new Error("HSM: Failed to open session after maximum retries");
+      }
+
+      // Execute callback with session handle
+      const result = await callbackWithSession(sessionHandle);
+      removeSession();
+      return result;
+    } catch (error) {
+      logger.error(error, "HSM: Failed to open session");
+      throw error;
+    } finally {
+      // Ensure cleanup
+      removeSession();
+    }
+  };
+
+  const $findKey = (sessionHandle: pkcs11js.Handle, type: HsmKeyType) => {
+    const label = type === HsmKeyType.HMAC ? `${appCfg.HSM_KEY_LABEL}_HMAC` : appCfg.HSM_KEY_LABEL;
+    const keyType = type === HsmKeyType.HMAC ? pkcs11js.CKK_GENERIC_SECRET : pkcs11js.CKK_AES;
+
+    const template = [
+      { type: pkcs11js.CKA_CLASS, value: pkcs11js.CKO_SECRET_KEY },
+      { type: pkcs11js.CKA_KEY_TYPE, value: keyType },
+      { type: pkcs11js.CKA_LABEL, value: label }
+    ];
+
+    try {
+      // Initialize search
+      pkcs11.C_FindObjectsInit(sessionHandle, template);
+
+      try {
+        // Find first matching object
+        const handles = pkcs11.C_FindObjects(sessionHandle, 1);
+
+        if (handles.length === 0) {
+          throw new Error("Failed to find master key");
+        }
+
+        return handles[0]; // Return the key handle
+      } finally {
+        // Always finalize the search operation
+        pkcs11.C_FindObjectsFinal(sessionHandle);
+      }
+    } catch (error) {
+      return null;
+    }
+  };
+
+  const $keyExists = (session: pkcs11js.Handle, type: HsmKeyType): boolean => {
+    try {
+      const key = $findKey(session, type);
+      // items(0) will throw an error if no items are found
+      // Return true only if we got a valid object with handle
+      return !!key && key.length > 0;
+    } catch (error) {
+      // If items(0) throws, it means no key was found
+      // eslint-disable-next-line @typescript-eslint/no-unsafe-member-access, @typescript-eslint/no-explicit-any, @typescript-eslint/no-unsafe-call
+      logger.error(error, "HSM: Failed while checking for HSM key presence");
+
+      if (error instanceof pkcs11js.Pkcs11Error) {
+        if (error.code === pkcs11js.CKR_OBJECT_HANDLE_INVALID) {
+          return false;
+        }
+      }
+
+      return false;
+    }
+  };
+
+  const encrypt: {
+    (data: Buffer, providedSession: pkcs11js.Handle): Promise<Buffer>;
+    (data: Buffer): Promise<Buffer>;
+  } = async (data: Buffer, providedSession?: pkcs11js.Handle) => {
+    if (!pkcs11 || !isInitialized) {
+      throw new Error("PKCS#11 module is not initialized");
+    }
+
+    const $performEncryption = (sessionHandle: pkcs11js.Handle) => {
+      try {
+        const aesKey = $findKey(sessionHandle, HsmKeyType.AES);
+        if (!aesKey) {
+          throw new Error("HSM: Encryption failed, AES key not found");
+        }
+
+        const hmacKey = $findKey(sessionHandle, HsmKeyType.HMAC);
+        if (!hmacKey) {
+          throw new Error("HSM: Encryption failed, HMAC key not found");
+        }
+
+        const iv = Buffer.alloc(IV_LENGTH);
+        pkcs11.C_GenerateRandom(sessionHandle, iv);
+
+        const encryptMechanism = {
+          mechanism: pkcs11js.CKM_AES_CBC_PAD,
+          parameter: iv
+        };
+
+        pkcs11.C_EncryptInit(sessionHandle, encryptMechanism, aesKey);
+
+        // Calculate max buffer size (input length + potential full block of padding)
+        const maxEncryptedLength = Math.ceil(data.length / BLOCK_SIZE) * BLOCK_SIZE + BLOCK_SIZE;
+
+        // Encrypt the data - this returns the encrypted data directly
+        const encryptedData = pkcs11.C_Encrypt(sessionHandle, data, Buffer.alloc(maxEncryptedLength));
+
+        // Initialize HMAC
+        const hmacMechanism = {
+          mechanism: pkcs11js.CKM_SHA256_HMAC
+        };
+
+        pkcs11.C_SignInit(sessionHandle, hmacMechanism, hmacKey);
+
+        // Sign the IV and encrypted data
+        pkcs11.C_SignUpdate(sessionHandle, iv);
+        pkcs11.C_SignUpdate(sessionHandle, encryptedData);
+
+        // Get the HMAC
+        const hmac = Buffer.alloc(HMAC_SIZE);
+        pkcs11.C_SignFinal(sessionHandle, hmac);
+
+        // Combine encrypted data and HMAC [Encrypted Data | HMAC]
+        const finalBuffer = Buffer.alloc(encryptedData.length + hmac.length);
+        encryptedData.copy(finalBuffer);
+        hmac.copy(finalBuffer, encryptedData.length);
+
+        return Buffer.concat([iv, finalBuffer]);
+      } catch (error) {
+        logger.error(error, "HSM: Failed to perform encryption");
+        throw new Error(`HSM: Encryption failed: ${(error as Error)?.message}`);
+      }
+    };
+
+    if (providedSession) {
+      return $performEncryption(providedSession);
+    }
+
+    const result = await $withSession($performEncryption);
+    return result;
+  };
+
+  const decrypt: {
+    (encryptedBlob: Buffer, providedSession: pkcs11js.Handle): Promise<Buffer>;
+    (encryptedBlob: Buffer): Promise<Buffer>;
+  } = async (encryptedBlob: Buffer, providedSession?: pkcs11js.Handle) => {
+    if (!pkcs11 || !isInitialized) {
+      throw new Error("PKCS#11 module is not initialized");
+    }
+
+    const $performDecryption = (sessionHandle: pkcs11js.Handle) => {
+      try {
+        // structure is: [IV (16 bytes) | Encrypted Data (N bytes) | HMAC (32 bytes)]
+        const iv = encryptedBlob.subarray(0, IV_LENGTH);
+        const encryptedDataWithHmac = encryptedBlob.subarray(IV_LENGTH);
+
+        // Split encrypted data and HMAC
+        const hmac = encryptedDataWithHmac.subarray(-HMAC_SIZE); // Last 32 bytes are HMAC
+
+        const encryptedData = encryptedDataWithHmac.subarray(0, -HMAC_SIZE); // Everything except last 32 bytes
+
+        // Find the keys
+        const aesKey = $findKey(sessionHandle, HsmKeyType.AES);
+        if (!aesKey) {
+          throw new Error("HSM: Decryption failed, AES key not found");
+        }
+
+        const hmacKey = $findKey(sessionHandle, HsmKeyType.HMAC);
+        if (!hmacKey) {
+          throw new Error("HSM: Decryption failed, HMAC key not found");
+        }
+
+        // Verify HMAC first
+        const hmacMechanism = {
+          mechanism: pkcs11js.CKM_SHA256_HMAC
+        };
+
+        pkcs11.C_VerifyInit(sessionHandle, hmacMechanism, hmacKey);
+        pkcs11.C_VerifyUpdate(sessionHandle, iv);
+        pkcs11.C_VerifyUpdate(sessionHandle, encryptedData);
+
+        try {
+          pkcs11.C_VerifyFinal(sessionHandle, hmac);
+        } catch (error) {
+          logger.error(error, "HSM: HMAC verification failed");
+          throw new Error("HSM: Decryption failed"); // Generic error for failed verification
+        }
+
+        // Only decrypt if verification passed
+        const decryptMechanism = {
+          mechanism: pkcs11js.CKM_AES_CBC_PAD,
+          parameter: iv
+        };
+
+        pkcs11.C_DecryptInit(sessionHandle, decryptMechanism, aesKey);
+
+        const tempBuffer = Buffer.alloc(encryptedData.length);
+        const decryptedData = pkcs11.C_Decrypt(sessionHandle, encryptedData, tempBuffer);
+
+        // Create a new buffer from the decrypted data
+        return Buffer.from(decryptedData);
+      } catch (error) {
+        logger.error(error, "HSM: Failed to perform decryption");
+        throw new Error("HSM: Decryption failed"); // Generic error for failed decryption, to avoid leaking details about why it failed (such as padding related errors)
+      }
+    };
+
+    if (providedSession) {
+      return $performDecryption(providedSession);
+    }
+
+    const result = await $withSession($performDecryption);
+    return result;
+  };
+
+  // We test the core functionality of the PKCS#11 module that we are using throughout Infisical. This is to ensure that the user doesn't configure a faulty or unsupported HSM device.
+  const $testPkcs11Module = async (session: pkcs11js.Handle) => {
+    try {
+      if (!pkcs11 || !isInitialized) {
+        throw new Error("PKCS#11 module is not initialized");
+      }
+
+      if (!session) {
+        throw new Error("HSM: Attempted to run test without a valid session");
+      }
+
+      const randomData = pkcs11.C_GenerateRandom(session, Buffer.alloc(500));
+
+      const encryptedData = await encrypt(randomData, session);
+      const decryptedData = await decrypt(encryptedData, session);
+
+      const randomDataHex = randomData.toString("hex");
+      const decryptedDataHex = decryptedData.toString("hex");
+
+      if (randomDataHex !== decryptedDataHex && Buffer.compare(randomData, decryptedData)) {
+        throw new Error("HSM: Startup test failed. Decrypted data does not match original data");
+      }
+
+      return true;
+    } catch (error) {
+      logger.error(error, "HSM: Error testing PKCS#11 module");
+      return false;
+    }
+  };
+
+  const isActive = async () => {
+    if (!isInitialized || !appCfg.isHsmConfigured) {
+      return false;
+    }
+
+    let pkcs11TestPassed = false;
+
+    try {
+      pkcs11TestPassed = await $withSession($testPkcs11Module);
+    } catch (err) {
+      logger.error(err, "HSM: Error testing PKCS#11 module");
+    }
+
+    return appCfg.isHsmConfigured && isInitialized && pkcs11TestPassed;
+  };
+
+  const startService = async () => {
+    if (!appCfg.isHsmConfigured || !pkcs11 || !isInitialized) return;
+
+    try {
+      await $withSession(async (sessionHandle) => {
+        // Check if master key exists, create if not
+
+        const genericAttributes = [
+          { type: pkcs11js.CKA_TOKEN, value: true }, // Persistent storage
+          { type: pkcs11js.CKA_EXTRACTABLE, value: false }, // Cannot be extracted
+          { type: pkcs11js.CKA_SENSITIVE, value: true }, // Sensitive value
+          { type: pkcs11js.CKA_PRIVATE, value: true } // Requires authentication
+        ];
+
+        if (!$keyExists(sessionHandle, HsmKeyType.AES)) {
+          // Template for generating 256-bit AES master key
+          const keyTemplate = [
+            { type: pkcs11js.CKA_CLASS, value: pkcs11js.CKO_SECRET_KEY },
+            { type: pkcs11js.CKA_KEY_TYPE, value: pkcs11js.CKK_AES },
+            { type: pkcs11js.CKA_VALUE_LEN, value: AES_KEY_SIZE / 8 },
+            { type: pkcs11js.CKA_LABEL, value: appCfg.HSM_KEY_LABEL! },
+            { type: pkcs11js.CKA_ENCRYPT, value: true }, // Allow encryption
+            { type: pkcs11js.CKA_DECRYPT, value: true }, // Allow decryption
+            ...genericAttributes
+          ];
+
+          // Generate the key
+          pkcs11.C_GenerateKey(
+            sessionHandle,
+            {
+              mechanism: pkcs11js.CKM_AES_KEY_GEN
+            },
+            keyTemplate
+          );
+
+          logger.info(`HSM: Master key created successfully with label: ${appCfg.HSM_KEY_LABEL}`);
+        }
+
+        // Check if HMAC key exists, create if not
+        if (!$keyExists(sessionHandle, HsmKeyType.HMAC)) {
+          const hmacKeyTemplate = [
+            { type: pkcs11js.CKA_CLASS, value: pkcs11js.CKO_SECRET_KEY },
+            { type: pkcs11js.CKA_KEY_TYPE, value: pkcs11js.CKK_GENERIC_SECRET },
+            { type: pkcs11js.CKA_VALUE_LEN, value: HMAC_KEY_SIZE / 8 }, // 256-bit key
+            { type: pkcs11js.CKA_LABEL, value: `${appCfg.HSM_KEY_LABEL!}_HMAC` },
+            { type: pkcs11js.CKA_SIGN, value: true }, // Allow signing
+            { type: pkcs11js.CKA_VERIFY, value: true }, // Allow verification
+            ...genericAttributes
+          ];
+
+          // Generate the HMAC key
+          pkcs11.C_GenerateKey(
+            sessionHandle,
+            {
+              mechanism: pkcs11js.CKM_GENERIC_SECRET_KEY_GEN
+            },
+            hmacKeyTemplate
+          );
+
+          logger.info(`HSM: HMAC key created successfully with label: ${appCfg.HSM_KEY_LABEL}_HMAC`);
+        }
+
+        // Get slot info to check supported mechanisms
+        const slotId = pkcs11.C_GetSessionInfo(sessionHandle).slotID;
+        const mechanisms = pkcs11.C_GetMechanismList(slotId);
+
+        // Check for AES CBC PAD support
+        const hasAesCbc = mechanisms.includes(pkcs11js.CKM_AES_CBC_PAD);
+
+        if (!hasAesCbc) {
+          throw new Error(`Required mechanism CKM_AEC_CBC_PAD not supported by HSM`);
+        }
+
+        // Run test encryption/decryption
+        const testPassed = await $testPkcs11Module(sessionHandle);
+
+        if (!testPassed) {
+          throw new Error("PKCS#11 module test failed. Please ensure that the HSM is correctly configured.");
+        }
+      });
+    } catch (error) {
+      logger.error(error, "HSM: Error initializing HSM service:");
+      throw error;
+    }
+  };
+
+  return {
+    encrypt,
+    startService,
+    isActive,
+    decrypt
+  };
+};
--- a/backend/src/ee/services/hsm/hsm-types.ts
+++ b/backend/src/ee/services/hsm/hsm-types.ts
@@ -0,0 +1,11 @@
+import pkcs11js from "pkcs11js";
+
+export type HsmModule = {
+  pkcs11: pkcs11js.PKCS11;
+  isInitialized: boolean;
+};
+
+export enum HsmKeyType {
+  AES = "AES",
+  HMAC = "hmac"
+}
--- a/backend/src/ee/services/license/license-fns.ts
+++ b/backend/src/ee/services/license/license-fns.ts
@@ -29,6 +29,7 @@ export const getDefaultOnPremFeatures = (): TFeatureSet => ({
  auditLogStreams: false,
  auditLogStreamLimit: 3,
  samlSSO: false,
+  hsm: false,
  oidcSSO: false,
  scim: false,
  ldap: false,
--- a/backend/src/ee/services/license/license-types.ts
+++ b/backend/src/ee/services/license/license-types.ts
@@ -46,6 +46,7 @@ export type TFeatureSet = {
  auditLogStreams: false;
  auditLogStreamLimit: 3;
  samlSSO: false;
+  hsm: false;
  oidcSSO: false;
  scim: false;
  ldap: false;
--- a/backend/src/lib/config/env.ts
+++ b/backend/src/lib/config/env.ts
@@ -163,10 +163,22 @@ const envSchema = z
    SSL_CLIENT_CERTIFICATE_HEADER_KEY: zpStr(z.string().optional()).default("x-ssl-client-cert"),
    WORKFLOW_SLACK_CLIENT_ID: zpStr(z.string().optional()),
    WORKFLOW_SLACK_CLIENT_SECRET: zpStr(z.string().optional()),
-    ENABLE_MSSQL_SECRET_ROTATION_ENCRYPT: zodStrBool.default("true")
+    ENABLE_MSSQL_SECRET_ROTATION_ENCRYPT: zodStrBool.default("true"),
+
+    // HSM
+    HSM_LIB_PATH: zpStr(z.string().optional()),
+    HSM_PIN: zpStr(z.string().optional()),
+    HSM_KEY_LABEL: zpStr(z.string().optional()),
+    HSM_SLOT: z.coerce.number().optional().default(0)
  })
+  // To ensure that basic encryption is always possible.
+  .refine(
+    (data) => Boolean(data.ENCRYPTION_KEY) || Boolean(data.ROOT_ENCRYPTION_KEY),
+    "Either ENCRYPTION_KEY or ROOT_ENCRYPTION_KEY must be defined."
+  )
  .transform((data) => ({
    ...data,
+
    DB_READ_REPLICAS: data.DB_READ_REPLICAS
      ? databaseReadReplicaSchema.parse(JSON.parse(data.DB_READ_REPLICAS))
      : undefined,
@@ -175,10 +187,14 @@ const envSchema = z
    isRedisConfigured: Boolean(data.REDIS_URL),
    isDevelopmentMode: data.NODE_ENV === "development",
    isProductionMode: data.NODE_ENV === "production" || IS_PACKAGED,
+
    isSecretScanningConfigured:
      Boolean(data.SECRET_SCANNING_GIT_APP_ID) &&
      Boolean(data.SECRET_SCANNING_PRIVATE_KEY) &&
      Boolean(data.SECRET_SCANNING_WEBHOOK_SECRET),
+    isHsmConfigured:
+      Boolean(data.HSM_LIB_PATH) && Boolean(data.HSM_PIN) && Boolean(data.HSM_KEY_LABEL) && data.HSM_SLOT !== undefined,
+
    samlDefaultOrgSlug: data.DEFAULT_SAML_ORG_SLUG,
    SECRET_SCANNING_ORG_WHITELIST: data.SECRET_SCANNING_ORG_WHITELIST?.split(",")
  }));
--- a/backend/src/main.ts
+++ b/backend/src/main.ts
@@ -1,6 +1,8 @@
 import dotenv from "dotenv";
 import path from "path";

+import { initializeHsmModule } from "@app/ee/services/hsm/hsm-fns";
+
 import { initAuditLogDbConnection, initDbConnection } from "./db";
 import { keyStoreFactory } from "./keystore/keystore";
 import { formatSmtpConfig, initEnvConfig, IS_PACKAGED } from "./lib/config/env";
@@ -53,13 +55,17 @@ const run = async () => {
  const queue = queueServiceFactory(appCfg.REDIS_URL);
  const keyStore = keyStoreFactory(appCfg.REDIS_URL);

-  const server = await main({ db, auditLogDb, smtp, logger, queue, keyStore });
+  const hsmModule = initializeHsmModule();
+  hsmModule.initialize();
+
+  const server = await main({ db, auditLogDb, hsmModule: hsmModule.getModule(), smtp, logger, queue, keyStore });
  const bootstrap = await bootstrapCheck({ db });

  // eslint-disable-next-line
  process.on("SIGINT", async () => {
    await server.close();
    await db.destroy();
+    hsmModule.finalize();
    process.exit(0);
  });

@@ -67,6 +73,7 @@ const run = async () => {
  process.on("SIGTERM", async () => {
    await server.close();
    await db.destroy();
+    hsmModule.finalize();
    process.exit(0);
  });

--- a/backend/src/server/app.ts
+++ b/backend/src/server/app.ts
@@ -14,6 +14,7 @@ import fastify from "fastify";
 import { Knex } from "knex";
 import { Logger } from "pino";

+import { HsmModule } from "@app/ee/services/hsm/hsm-types";
 import { TKeyStoreFactory } from "@app/keystore/keystore";
 import { getConfig, IS_PACKAGED } from "@app/lib/config/env";
 import { TQueueServiceFactory } from "@app/queue";
@@ -36,16 +37,19 @@ type TMain = {
  logger?: Logger;
  queue: TQueueServiceFactory;
  keyStore: TKeyStoreFactory;
+  hsmModule: HsmModule;
 };

 // Run the server!
-export const main = async ({ db, auditLogDb, smtp, logger, queue, keyStore }: TMain) => {
+export const main = async ({ db, hsmModule, auditLogDb, smtp, logger, queue, keyStore }: TMain) => {
  const appCfg = getConfig();
+
  const server = fastify({
    logger: appCfg.NODE_ENV === "test" ? false : logger,
    trustProxy: true,
-    connectionTimeout: 30 * 1000,
-    ignoreTrailingSlash: true
+    connectionTimeout: appCfg.isHsmConfigured ? 90_000 : 30_000,
+    ignoreTrailingSlash: true,
+    pluginTimeout: 40_000
  }).withTypeProvider<ZodTypeProvider>();

  server.setValidatorCompiler(validatorCompiler);
@@ -95,7 +99,7 @@ export const main = async ({ db, auditLogDb, smtp, logger, queue, keyStore }: TM

    await server.register(maintenanceMode);

-    await server.register(registerRoutes, { smtp, queue, db, auditLogDb, keyStore });
+    await server.register(registerRoutes, { smtp, queue, db, auditLogDb, keyStore, hsmModule });

    if (appCfg.isProductionMode) {
      await server.register(registerExternalNextjs, {
--- a/backend/src/server/routes/index.ts
+++ b/backend/src/server/routes/index.ts
@@ -1,5 +1,4 @@
 import { CronJob } from "cron";
-// import { Redis } from "ioredis";
 import { Knex } from "knex";
 import { z } from "zod";

@@ -31,6 +30,8 @@ import { externalKmsServiceFactory } from "@app/ee/services/external-kms/externa
 import { groupDALFactory } from "@app/ee/services/group/group-dal";
 import { groupServiceFactory } from "@app/ee/services/group/group-service";
 import { userGroupMembershipDALFactory } from "@app/ee/services/group/user-group-membership-dal";
+import { hsmServiceFactory } from "@app/ee/services/hsm/hsm-service";
+import { HsmModule } from "@app/ee/services/hsm/hsm-types";
 import { identityProjectAdditionalPrivilegeDALFactory } from "@app/ee/services/identity-project-additional-privilege/identity-project-additional-privilege-dal";
 import { identityProjectAdditionalPrivilegeServiceFactory } from "@app/ee/services/identity-project-additional-privilege/identity-project-additional-privilege-service";
 import { identityProjectAdditionalPrivilegeV2ServiceFactory } from "@app/ee/services/identity-project-additional-privilege-v2/identity-project-additional-privilege-v2-service";
@@ -223,10 +224,18 @@ export const registerRoutes = async (
  {
    auditLogDb,
    db,
+    hsmModule,
    smtp: smtpService,
    queue: queueService,
    keyStore
-  }: { auditLogDb?: Knex; db: Knex; smtp: TSmtpService; queue: TQueueServiceFactory; keyStore: TKeyStoreFactory }
+  }: {
+    auditLogDb?: Knex;
+    db: Knex;
+    hsmModule: HsmModule;
+    smtp: TSmtpService;
+    queue: TQueueServiceFactory;
+    keyStore: TKeyStoreFactory;
+  }
 ) => {
  const appCfg = getConfig();
  await server.register(registerSecretScannerGhApp, { prefix: "/ss-webhook" });
@@ -352,14 +361,21 @@ export const registerRoutes = async (
    projectDAL
  });
  const licenseService = licenseServiceFactory({ permissionService, orgDAL, licenseDAL, keyStore });
+
+  const hsmService = hsmServiceFactory({
+    hsmModule
+  });
+
  const kmsService = kmsServiceFactory({
    kmsRootConfigDAL,
    keyStore,
    kmsDAL,
    internalKmsDAL,
    orgDAL,
-    projectDAL
+    projectDAL,
+    hsmService
  });
+
  const externalKmsService = externalKmsServiceFactory({
    kmsDAL,
    kmsService,
@@ -556,6 +572,7 @@ export const registerRoutes = async (
    userDAL,
    authService: loginService,
    serverCfgDAL: superAdminDAL,
+    kmsRootConfigDAL,
    orgService,
    keyStore,
    licenseService,
@@ -1261,10 +1278,13 @@ export const registerRoutes = async (
  });

  await superAdminService.initServerCfg();
-  //
+
  // setup the communication with license key server
  await licenseService.init();

+  // Start HSM service if it's configured/enabled.
+  await hsmService.startService();
+
  await telemetryQueue.startTelemetryCheck();
  await dailyResourceCleanUp.startCleanUp();
  await dailyExpiringPkiItemAlert.startSendingAlerts();
@@ -1342,6 +1362,7 @@ export const registerRoutes = async (
    secretSharing: secretSharingService,
    userEngagement: userEngagementService,
    externalKms: externalKmsService,
+    hsm: hsmService,
    cmek: cmekService,
    orgAdmin: orgAdminService,
    slack: slackService,
--- a/backend/src/server/routes/v1/admin-router.ts
+++ b/backend/src/server/routes/v1/admin-router.ts
@@ -7,6 +7,7 @@ import { readLimit, writeLimit } from "@app/server/config/rateLimiter";
 import { verifySuperAdmin } from "@app/server/plugins/auth/superAdmin";
 import { verifyAuth } from "@app/server/plugins/auth/verify-auth";
 import { AuthMode } from "@app/services/auth/auth-type";
+import { RootKeyEncryptionStrategy } from "@app/services/kms/kms-types";
 import { getServerCfg } from "@app/services/super-admin/super-admin-service";
 import { LoginMethod } from "@app/services/super-admin/super-admin-types";
 import { PostHogEventTypes } from "@app/services/telemetry/telemetry-types";
@@ -195,6 +196,57 @@ export const registerAdminRouter = async (server: FastifyZodProvider) => {
    }
  });

+  server.route({
+    method: "GET",
+    url: "/encryption-strategies",
+    config: {
+      rateLimit: readLimit
+    },
+    schema: {
+      response: {
+        200: z.object({
+          strategies: z
+            .object({
+              strategy: z.nativeEnum(RootKeyEncryptionStrategy),
+              enabled: z.boolean()
+            })
+            .array()
+        })
+      }
+    },
+    onRequest: (req, res, done) => {
+      verifyAuth([AuthMode.JWT])(req, res, () => {
+        verifySuperAdmin(req, res, done);
+      });
+    },
+
+    handler: async () => {
+      const encryptionDetails = await server.services.superAdmin.getConfiguredEncryptionStrategies();
+      return encryptionDetails;
+    }
+  });
+
+  server.route({
+    method: "PATCH",
+    url: "/encryption-strategies",
+    config: {
+      rateLimit: writeLimit
+    },
+    schema: {
+      body: z.object({
+        strategy: z.nativeEnum(RootKeyEncryptionStrategy)
+      })
+    },
+    onRequest: (req, res, done) => {
+      verifyAuth([AuthMode.JWT])(req, res, () => {
+        verifySuperAdmin(req, res, done);
+      });
+    },
+    handler: async (req) => {
+      await server.services.superAdmin.updateRootEncryptionStrategy(req.body.strategy);
+    }
+  });
+
  server.route({
    method: "POST",
    url: "/signup",
--- a/backend/src/services/kms/kms-fns.ts
+++ b/backend/src/services/kms/kms-fns.ts
@@ -1,5 +1,7 @@
 import { SymmetricEncryption } from "@app/lib/crypto/cipher";

+export const KMS_ROOT_CONFIG_UUID = "00000000-0000-0000-0000-000000000000";
+
 export const getByteLengthForAlgorithm = (encryptionAlgorithm: SymmetricEncryption) => {
  switch (encryptionAlgorithm) {
    case SymmetricEncryption.AES_GCM_128:
--- a/backend/src/services/kms/kms-service.ts
+++ b/backend/src/services/kms/kms-service.ts
@@ -2,13 +2,14 @@ import slugify from "@sindresorhus/slugify";
 import { Knex } from "knex";
 import { z } from "zod";

-import { KmsKeysSchema } from "@app/db/schemas";
+import { KmsKeysSchema, TKmsRootConfig } from "@app/db/schemas";
 import { AwsKmsProviderFactory } from "@app/ee/services/external-kms/providers/aws-kms";
 import {
  ExternalKmsAwsSchema,
  KmsProviders,
  TExternalKmsProviderFns
 } from "@app/ee/services/external-kms/providers/model";
+import { THsmServiceFactory } from "@app/ee/services/hsm/hsm-service";
 import { KeyStorePrefixes, TKeyStoreFactory } from "@app/keystore/keystore";
 import { getConfig } from "@app/lib/config/env";
 import { randomSecureBytes } from "@app/lib/crypto";
@@ -17,7 +18,7 @@ import { generateHash } from "@app/lib/crypto/encryption";
 import { BadRequestError, ForbiddenRequestError, NotFoundError } from "@app/lib/errors";
 import { logger } from "@app/lib/logger";
 import { alphaNumericNanoId } from "@app/lib/nanoid";
-import { getByteLengthForAlgorithm } from "@app/services/kms/kms-fns";
+import { getByteLengthForAlgorithm, KMS_ROOT_CONFIG_UUID } from "@app/services/kms/kms-fns";

 import { TOrgDALFactory } from "../org/org-dal";
 import { TProjectDALFactory } from "../project/project-dal";
@@ -27,6 +28,7 @@ import { TKmsRootConfigDALFactory } from "./kms-root-config-dal";
 import {
  KmsDataKey,
  KmsType,
+  RootKeyEncryptionStrategy,
  TDecryptWithKeyDTO,
  TDecryptWithKmsDTO,
  TEncryptionWithKeyDTO,
@@ -40,15 +42,14 @@ type TKmsServiceFactoryDep = {
  kmsDAL: TKmsKeyDALFactory;
  projectDAL: Pick<TProjectDALFactory, "findById" | "updateById" | "transaction">;
  orgDAL: Pick<TOrgDALFactory, "findById" | "updateById" | "transaction">;
-  kmsRootConfigDAL: Pick<TKmsRootConfigDALFactory, "findById" | "create">;
+  kmsRootConfigDAL: Pick<TKmsRootConfigDALFactory, "findById" | "create" | "updateById">;
  keyStore: Pick<TKeyStoreFactory, "acquireLock" | "waitTillReady" | "setItemWithExpiry">;
  internalKmsDAL: Pick<TInternalKmsDALFactory, "create">;
+  hsmService: THsmServiceFactory;
 };

 export type TKmsServiceFactory = ReturnType<typeof kmsServiceFactory>;

-const KMS_ROOT_CONFIG_UUID = "00000000-0000-0000-0000-000000000000";
-
 const KMS_ROOT_CREATION_WAIT_KEY = "wait_till_ready_kms_root_key";
 const KMS_ROOT_CREATION_WAIT_TIME = 10;

@@ -63,7 +64,8 @@ export const kmsServiceFactory = ({
  keyStore,
  internalKmsDAL,
  orgDAL,
-  projectDAL
+  projectDAL,
+  hsmService
 }: TKmsServiceFactoryDep) => {
  let ROOT_ENCRYPTION_KEY = Buffer.alloc(0);

@@ -610,6 +612,65 @@ export const kmsServiceFactory = ({
    }
  };

+  const $getBasicEncryptionKey = () => {
+    const appCfg = getConfig();
+
+    const encryptionKey = appCfg.ENCRYPTION_KEY || appCfg.ROOT_ENCRYPTION_KEY;
+    const isBase64 = !appCfg.ENCRYPTION_KEY;
+    if (!encryptionKey)
+      throw new Error(
+        "Root encryption key not found for KMS service. Did you set the ENCRYPTION_KEY or ROOT_ENCRYPTION_KEY environment variables?"
+      );
+
+    const encryptionKeyBuffer = Buffer.from(encryptionKey, isBase64 ? "base64" : "utf8");
+
+    return encryptionKeyBuffer;
+  };
+
+  const $decryptRootKey = async (kmsRootConfig: TKmsRootConfig) => {
+    // case 1: root key is encrypted with HSM
+    if (kmsRootConfig.encryptionStrategy === RootKeyEncryptionStrategy.HSM) {
+      const hsmIsActive = await hsmService.isActive();
+      if (!hsmIsActive) {
+        throw new Error("Unable to decrypt root KMS key. HSM service is inactive. Did you configure the HSM?");
+      }
+
+      const decryptedKey = await hsmService.decrypt(kmsRootConfig.encryptedRootKey);
+      return decryptedKey;
+    }
+
+    // case 2: root key is encrypted with software encryption
+    if (kmsRootConfig.encryptionStrategy === RootKeyEncryptionStrategy.Software) {
+      const cipher = symmetricCipherService(SymmetricEncryption.AES_GCM_256);
+      const encryptionKeyBuffer = $getBasicEncryptionKey();
+
+      return cipher.decrypt(kmsRootConfig.encryptedRootKey, encryptionKeyBuffer);
+    }
+
+    throw new Error(`Invalid root key encryption strategy: ${kmsRootConfig.encryptionStrategy}`);
+  };
+
+  const $encryptRootKey = async (plainKeyBuffer: Buffer, strategy: RootKeyEncryptionStrategy) => {
+    if (strategy === RootKeyEncryptionStrategy.HSM) {
+      const hsmIsActive = await hsmService.isActive();
+      if (!hsmIsActive) {
+        throw new Error("Unable to encrypt root KMS key. HSM service is inactive. Did you configure the HSM?");
+      }
+      const encrypted = await hsmService.encrypt(plainKeyBuffer);
+      return encrypted;
+    }
+
+    if (strategy === RootKeyEncryptionStrategy.Software) {
+      const cipher = symmetricCipherService(SymmetricEncryption.AES_GCM_256);
+      const encryptionKeyBuffer = $getBasicEncryptionKey();
+
+      return cipher.encrypt(plainKeyBuffer, encryptionKeyBuffer);
+    }
+
+    // eslint-disable-next-line @typescript-eslint/restrict-template-expressions
+    throw new Error(`Invalid root key encryption strategy: ${strategy}`);
+  };
+
  // by keeping the decrypted data key in inner scope
  // none of the entities outside can interact directly or expose the data key
  // NOTICE: If changing here update migrations/utils/kms
@@ -771,7 +832,6 @@ export const kmsServiceFactory = ({
        },
        tx
      );
-
      return kmsDAL.findByIdWithAssociatedKms(key.id, tx);
    });

@@ -794,14 +854,6 @@ export const kmsServiceFactory = ({

  // akhilmhdh: a copy of this is made in migrations/utils/kms
  const startService = async () => {
-    const appCfg = getConfig();
-    // This will switch to a seal process and HMS flow in future
-    const encryptionKey = appCfg.ENCRYPTION_KEY || appCfg.ROOT_ENCRYPTION_KEY;
-    // if root key its base64 encoded
-    const isBase64 = !appCfg.ENCRYPTION_KEY;
-    if (!encryptionKey) throw new Error("Root encryption key not found for KMS service.");
-    const encryptionKeyBuffer = Buffer.from(encryptionKey, isBase64 ? "base64" : "utf8");
-
    const lock = await keyStore.acquireLock([`KMS_ROOT_CFG_LOCK`], 3000, { retryCount: 3 }).catch(() => null);
    if (!lock) {
      await keyStore.waitTillReady({
@@ -813,31 +865,69 @@ export const kmsServiceFactory = ({

    // check if KMS root key was already generated and saved in DB
    const kmsRootConfig = await kmsRootConfigDAL.findById(KMS_ROOT_CONFIG_UUID);
-    const cipher = symmetricCipherService(SymmetricEncryption.AES_GCM_256);
+
+    // case 1: a root key already exists in the DB
    if (kmsRootConfig) {
      if (lock) await lock.release();
-      logger.info("KMS: Encrypted ROOT Key found from DB. Decrypting.");
-      const decryptedRootKey = cipher.decrypt(kmsRootConfig.encryptedRootKey, encryptionKeyBuffer);
-      // set the flag so that other instancen nodes can start
+      logger.info(`KMS: Encrypted ROOT Key found from DB. Decrypting. [strategy=${kmsRootConfig.encryptionStrategy}]`);
+
+      const decryptedRootKey = await $decryptRootKey(kmsRootConfig);
+
+      // set the flag so that other instance nodes can start
      await keyStore.setItemWithExpiry(KMS_ROOT_CREATION_WAIT_KEY, KMS_ROOT_CREATION_WAIT_TIME, "true");
      logger.info("KMS: Loading ROOT Key into Memory.");
      ROOT_ENCRYPTION_KEY = decryptedRootKey;
      return;
    }

-    logger.info("KMS: Generating ROOT Key");
+    // case 2: no config is found, so we create a new root key with basic encryption
+    logger.info("KMS: Generating new ROOT Key");
    const newRootKey = randomSecureBytes(32);
-    const encryptedRootKey = cipher.encrypt(newRootKey, encryptionKeyBuffer);
-    // @ts-expect-error id is kept as fixed for idempotence and to avoid race condition
-    await kmsRootConfigDAL.create({ encryptedRootKey, id: KMS_ROOT_CONFIG_UUID });
+    const encryptedRootKey = await $encryptRootKey(newRootKey, RootKeyEncryptionStrategy.Software).catch((err) => {
+      logger.error({ hsmEnabled: hsmService.isActive() }, "KMS: Failed to encrypt ROOT Key");
+      throw err;
+    });

-    // set the flag so that other instancen nodes can start
+    await kmsRootConfigDAL.create({
+      // @ts-expect-error id is kept as fixed for idempotence and to avoid race condition
+      id: KMS_ROOT_CONFIG_UUID,
+      encryptedRootKey,
+      encryptionStrategy: RootKeyEncryptionStrategy.Software
+    });
+
+    // set the flag so that other instance nodes can start
    await keyStore.setItemWithExpiry(KMS_ROOT_CREATION_WAIT_KEY, KMS_ROOT_CREATION_WAIT_TIME, "true");
    logger.info("KMS: Saved and loaded ROOT Key into memory");
    if (lock) await lock.release();
    ROOT_ENCRYPTION_KEY = newRootKey;
  };

+  const updateEncryptionStrategy = async (strategy: RootKeyEncryptionStrategy) => {
+    const kmsRootConfig = await kmsRootConfigDAL.findById(KMS_ROOT_CONFIG_UUID);
+    if (!kmsRootConfig) {
+      throw new NotFoundError({ message: "KMS root config not found" });
+    }
+
+    if (kmsRootConfig.encryptionStrategy === strategy) {
+      return;
+    }
+
+    const decryptedRootKey = await $decryptRootKey(kmsRootConfig);
+    const encryptedRootKey = await $encryptRootKey(decryptedRootKey, strategy);
+
+    if (!encryptedRootKey) {
+      logger.error("KMS: Failed to re-encrypt ROOT Key with selected strategy");
+      throw new Error("Failed to re-encrypt ROOT Key with selected strategy");
+    }
+
+    await kmsRootConfigDAL.updateById(KMS_ROOT_CONFIG_UUID, {
+      encryptedRootKey,
+      encryptionStrategy: strategy
+    });
+
+    ROOT_ENCRYPTION_KEY = decryptedRootKey;
+  };
+
  return {
    startService,
    generateKmsKey,
@@ -849,6 +939,7 @@ export const kmsServiceFactory = ({
    encryptWithRootKey,
    decryptWithRootKey,
    getOrgKmsKeyId,
+    updateEncryptionStrategy,
    getProjectSecretManagerKmsKeyId,
    updateProjectSecretManagerKmsKey,
    getProjectKeyBackup,
--- a/backend/src/services/kms/kms-types.ts
+++ b/backend/src/services/kms/kms-types.ts
@@ -56,3 +56,8 @@ export type TUpdateProjectSecretManagerKmsKeyDTO = {
  projectId: string;
  kms: { type: KmsType.Internal } | { type: KmsType.External; kmsId: string };
 };
+
+export enum RootKeyEncryptionStrategy {
+  Software = "SOFTWARE",
+  HSM = "HSM"
+}
--- a/backend/src/services/super-admin/super-admin-service.ts
+++ b/backend/src/services/super-admin/super-admin-service.ts
@@ -10,7 +10,10 @@ import { BadRequestError, NotFoundError } from "@app/lib/errors";

 import { TAuthLoginFactory } from "../auth/auth-login-service";
 import { AuthMethod } from "../auth/auth-type";
+import { KMS_ROOT_CONFIG_UUID } from "../kms/kms-fns";
+import { TKmsRootConfigDALFactory } from "../kms/kms-root-config-dal";
 import { TKmsServiceFactory } from "../kms/kms-service";
+import { RootKeyEncryptionStrategy } from "../kms/kms-types";
 import { TOrgServiceFactory } from "../org/org-service";
 import { TUserDALFactory } from "../user/user-dal";
 import { TSuperAdminDALFactory } from "./super-admin-dal";
@@ -20,7 +23,8 @@ type TSuperAdminServiceFactoryDep = {
  serverCfgDAL: TSuperAdminDALFactory;
  userDAL: TUserDALFactory;
  authService: Pick<TAuthLoginFactory, "generateUserTokens">;
-  kmsService: Pick<TKmsServiceFactory, "encryptWithRootKey" | "decryptWithRootKey">;
+  kmsService: Pick<TKmsServiceFactory, "encryptWithRootKey" | "decryptWithRootKey" | "updateEncryptionStrategy">;
+  kmsRootConfigDAL: TKmsRootConfigDALFactory;
  orgService: Pick<TOrgServiceFactory, "createOrganization">;
  keyStore: Pick<TKeyStoreFactory, "getItem" | "setItemWithExpiry" | "deleteItem">;
  licenseService: Pick<TLicenseServiceFactory, "onPremFeatures">;
@@ -47,6 +51,7 @@ export const superAdminServiceFactory = ({
  authService,
  orgService,
  keyStore,
+  kmsRootConfigDAL,
  kmsService,
  licenseService
 }: TSuperAdminServiceFactoryDep) => {
@@ -288,12 +293,70 @@ export const superAdminServiceFactory = ({
    };
  };

+  const getConfiguredEncryptionStrategies = async () => {
+    const appCfg = getConfig();
+
+    const kmsRootCfg = await kmsRootConfigDAL.findById(KMS_ROOT_CONFIG_UUID);
+
+    if (!kmsRootCfg) {
+      throw new NotFoundError({ name: "KmsRootConfig", message: "KMS root configuration not found" });
+    }
+
+    const selectedStrategy = kmsRootCfg.encryptionStrategy;
+    const enabledStrategies: { enabled: boolean; strategy: RootKeyEncryptionStrategy }[] = [];
+
+    if (appCfg.ROOT_ENCRYPTION_KEY || appCfg.ENCRYPTION_KEY) {
+      const basicStrategy = RootKeyEncryptionStrategy.Software;
+
+      enabledStrategies.push({
+        enabled: selectedStrategy === basicStrategy,
+        strategy: basicStrategy
+      });
+    }
+    if (appCfg.isHsmConfigured) {
+      const hsmStrategy = RootKeyEncryptionStrategy.HSM;
+
+      enabledStrategies.push({
+        enabled: selectedStrategy === hsmStrategy,
+        strategy: hsmStrategy
+      });
+    }
+
+    return {
+      strategies: enabledStrategies
+    };
+  };
+
+  const updateRootEncryptionStrategy = async (strategy: RootKeyEncryptionStrategy) => {
+    if (!licenseService.onPremFeatures.hsm) {
+      throw new BadRequestError({
+        message: "Failed to update encryption strategy due to plan restriction. Upgrade to Infisical's Enterprise plan."
+      });
+    }
+
+    const configuredStrategies = await getConfiguredEncryptionStrategies();
+
+    const foundStrategy = configuredStrategies.strategies.find((s) => s.strategy === strategy);
+
+    if (!foundStrategy) {
+      throw new BadRequestError({ message: "Invalid encryption strategy" });
+    }
+
+    if (foundStrategy.enabled) {
+      throw new BadRequestError({ message: "The selected encryption strategy is already enabled" });
+    }
+
+    await kmsService.updateEncryptionStrategy(strategy);
+  };
+
  return {
    initServerCfg,
    updateServerCfg,
    adminSignUp,
    getUsers,
    deleteUser,
-    getAdminSlackConfig
+    getAdminSlackConfig,
+    updateRootEncryptionStrategy,
+    getConfiguredEncryptionStrategies
  };
 };
--- a/cli/packages/api/model.go
+++ b/cli/packages/api/model.go
@@ -136,8 +136,8 @@ type GetOrganizationsResponse struct {
 }

 type SelectOrganizationResponse struct {
-	Token string `json:"token"`
-	MfaEnabled bool `json:"isMfaEnabled"`
+	Token      string `json:"token"`
+	MfaEnabled bool   `json:"isMfaEnabled"`
 }

 type SelectOrganizationRequest struct {
--- a/frontend/src/hooks/api/admin/index.ts
+++ b/frontend/src/hooks/api/admin/index.ts
@@ -2,6 +2,12 @@ export {
  useAdminDeleteUser,
  useCreateAdminUser,
  useUpdateAdminSlackConfig,
-  useUpdateServerConfig
+  useUpdateServerConfig,
+  useUpdateServerEncryptionStrategy
 } from "./mutation";
-export { useAdminGetUsers, useGetAdminSlackConfig, useGetServerConfig } from "./queries";
+export {
+  useAdminGetUsers,
+  useGetAdminSlackConfig,
+  useGetServerConfig,
+  useGetServerRootKmsEncryptionDetails
+} from "./queries";
--- a/frontend/src/hooks/api/admin/mutation.ts
+++ b/frontend/src/hooks/api/admin/mutation.ts
@@ -7,6 +7,7 @@ import { User } from "../users/types";
 import { adminQueryKeys, adminStandaloneKeys } from "./queries";
 import {
  AdminSlackConfig,
+  RootKeyEncryptionStrategy,
  TCreateAdminUserDTO,
  TServerConfig,
  TUpdateAdminSlackConfigDTO
@@ -85,3 +86,15 @@ export const useUpdateAdminSlackConfig = () => {
    }
  });
 };
+
+export const useUpdateServerEncryptionStrategy = () => {
+  const queryClient = useQueryClient();
+  return useMutation({
+    mutationFn: async (strategy: RootKeyEncryptionStrategy) => {
+      await apiRequest.patch("/api/v1/admin/encryption-strategies", { strategy });
+    },
+    onSuccess: () => {
+      queryClient.invalidateQueries(adminQueryKeys.getServerEncryptionStrategies());
+    }
+  });
+};
--- a/frontend/src/hooks/api/admin/queries.ts
+++ b/frontend/src/hooks/api/admin/queries.ts
@@ -3,7 +3,12 @@ import { useInfiniteQuery, useQuery, UseQueryOptions } from "@tanstack/react-que
 import { apiRequest } from "@app/config/request";

 import { User } from "../types";
-import { AdminGetUsersFilters, AdminSlackConfig, TServerConfig } from "./types";
+import {
+  AdminGetUsersFilters,
+  AdminSlackConfig,
+  TGetServerRootKmsEncryptionDetails,
+  TServerConfig
+} from "./types";

 export const adminStandaloneKeys = {
  getUsers: "get-users"
@@ -12,7 +17,8 @@ export const adminStandaloneKeys = {
 export const adminQueryKeys = {
  serverConfig: () => ["server-config"] as const,
  getUsers: (filters: AdminGetUsersFilters) => [adminStandaloneKeys.getUsers, { filters }] as const,
-  getAdminSlackConfig: () => ["admin-slack-config"] as const
+  getAdminSlackConfig: () => ["admin-slack-config"] as const,
+  getServerEncryptionStrategies: () => ["server-encryption-strategies"] as const
 };

 const fetchServerConfig = async () => {
@@ -61,8 +67,8 @@ export const useAdminGetUsers = (filters: AdminGetUsersFilters) => {
  });
 };

-export const useGetAdminSlackConfig = () =>
-  useQuery({
+export const useGetAdminSlackConfig = () => {
+  return useQuery({
    queryKey: adminQueryKeys.getAdminSlackConfig(),
    queryFn: async () => {
      const { data } = await apiRequest.get<AdminSlackConfig>(
@@ -72,3 +78,17 @@ export const useGetAdminSlackConfig = () =>
      return data;
    }
  });
+};
+
+export const useGetServerRootKmsEncryptionDetails = () => {
+  return useQuery({
+    queryKey: adminQueryKeys.getServerEncryptionStrategies(),
+    queryFn: async () => {
+      const { data } = await apiRequest.get<TGetServerRootKmsEncryptionDetails>(
+        "/api/v1/admin/encryption-strategies"
+      );
+
+      return data;
+    }
+  });
+};
--- a/frontend/src/hooks/api/admin/types.ts
+++ b/frontend/src/hooks/api/admin/types.ts
@@ -54,3 +54,15 @@ export type AdminSlackConfig = {
  clientId: string;
  clientSecret: string;
 };
+
+export type TGetServerRootKmsEncryptionDetails = {
+  strategies: {
+    strategy: RootKeyEncryptionStrategy;
+    enabled: boolean;
+  }[];
+};
+
+export enum RootKeyEncryptionStrategy {
+  Software = "SOFTWARE",
+  HSM = "HSM"
+}
--- a/frontend/src/hooks/api/subscriptions/types.ts
+++ b/frontend/src/hooks/api/subscriptions/types.ts
@@ -23,6 +23,7 @@ export type SubscriptionPlan = {
  workspacesUsed: number;
  environmentLimit: number;
  samlSSO: boolean;
+  hsm: boolean;
  oidcSSO: boolean;
  scim: boolean;
  ldap: boolean;
--- a/frontend/src/views/admin/DashboardPage/DashboardPage.tsx
+++ b/frontend/src/views/admin/DashboardPage/DashboardPage.tsx
@@ -22,15 +22,21 @@ import {
  Tabs
 } from "@app/components/v2";
 import { useOrganization, useServerConfig, useUser } from "@app/context";
-import { useGetOrganizations, useUpdateServerConfig } from "@app/hooks/api";
+import {
+  useGetOrganizations,
+  useGetServerRootKmsEncryptionDetails,
+  useUpdateServerConfig
+} from "@app/hooks/api";

 import { AuthPanel } from "./AuthPanel";
+import { EncryptionPanel } from "./EncryptionPanel";
 import { IntegrationPanel } from "./IntegrationPanel";
 import { RateLimitPanel } from "./RateLimitPanel";
 import { UserPanel } from "./UserPanel";

 enum TabSections {
  Settings = "settings",
+  Encryption = "encryption",
  Auth = "auth",
  RateLimit = "rate-limit",
  Integrations = "integrations",
@@ -55,6 +61,7 @@ type TDashboardForm = z.infer<typeof formSchema>;
 export const AdminDashboardPage = () => {
  const router = useRouter();
  const data = useServerConfig();
+  const { data: serverRootKmsDetails } = useGetServerRootKmsEncryptionDetails();
  const { config } = data;

  const {
@@ -137,6 +144,7 @@ export const AdminDashboardPage = () => {
            <TabList>
              <div className="flex w-full flex-row border-b border-mineshaft-600">
                <Tab value={TabSections.Settings}>General</Tab>
+                <Tab value={TabSections.Encryption}>Encryption</Tab>
                <Tab value={TabSections.Auth}>Authentication</Tab>
                <Tab value={TabSections.RateLimit}>Rate Limit</Tab>
                <Tab value={TabSections.Integrations}>Integrations</Tab>
@@ -321,6 +329,9 @@ export const AdminDashboardPage = () => {
                </Button>
              </form>
            </TabPanel>
+            <TabPanel value={TabSections.Encryption}>
+              <EncryptionPanel rootKmsDetails={serverRootKmsDetails} />
+            </TabPanel>
            <TabPanel value={TabSections.Auth}>
              <AuthPanel />
            </TabPanel>
--- a/frontend/src/views/admin/DashboardPage/EncryptionPanel.tsx
+++ b/frontend/src/views/admin/DashboardPage/EncryptionPanel.tsx
@@ -0,0 +1,137 @@
+import { useCallback } from "react";
+import { Controller, useForm } from "react-hook-form";
+import { zodResolver } from "@hookform/resolvers/zod";
+import { z } from "zod";
+
+import { createNotification } from "@app/components/notifications";
+import { Button, FormControl, Select, SelectItem, UpgradePlanModal } from "@app/components/v2";
+import { useSubscription } from "@app/context";
+import { usePopUp } from "@app/hooks";
+import { useUpdateServerEncryptionStrategy } from "@app/hooks/api";
+import {
+  RootKeyEncryptionStrategy,
+  TGetServerRootKmsEncryptionDetails
+} from "@app/hooks/api/admin/types";
+
+const formSchema = z.object({
+  encryptionStrategy: z.nativeEnum(RootKeyEncryptionStrategy)
+});
+
+const strategies: Record<RootKeyEncryptionStrategy, string> = {
+  [RootKeyEncryptionStrategy.Software]: "Software-based Encryption",
+  [RootKeyEncryptionStrategy.HSM]: "Hardware Security Module (HSM)"
+};
+
+type TForm = z.infer<typeof formSchema>;
+
+type Props = {
+  rootKmsDetails?: TGetServerRootKmsEncryptionDetails;
+};
+
+export const EncryptionPanel = ({ rootKmsDetails }: Props) => {
+  const { mutateAsync: updateEncryptionStrategy } = useUpdateServerEncryptionStrategy();
+  const { subscription } = useSubscription();
+
+  const { popUp, handlePopUpOpen, handlePopUpToggle } = usePopUp(["upgradePlan"] as const);
+
+  const {
+    control,
+    handleSubmit,
+    formState: { isSubmitting, isDirty }
+  } = useForm<TForm>({
+    resolver: zodResolver(formSchema),
+    values: {
+      encryptionStrategy:
+        rootKmsDetails?.strategies?.find((s) => s.enabled)?.strategy ??
+        RootKeyEncryptionStrategy.Software
+    }
+  });
+
+  const onSubmit = useCallback(async (formData: TForm) => {
+    if (!subscription) return;
+
+    if (!subscription.hsm) {
+      handlePopUpOpen("upgradePlan", {
+        description: "Hardware Security Module's (HSM's), are only available on Enterprise plans."
+      });
+      return;
+    }
+
+    try {
+      await updateEncryptionStrategy(formData.encryptionStrategy);
+
+      createNotification({
+        type: "success",
+        text: "Encryption strategy updated successfully"
+      });
+    } catch {
+      createNotification({
+        type: "error",
+        text: "Failed to update encryption strategy"
+      });
+    }
+  }, []);
+
+  return (
+    <>
+      <form
+        className="mb-6 rounded-lg border border-mineshaft-600 bg-mineshaft-900 p-4"
+        onSubmit={handleSubmit(onSubmit)}
+      >
+        <div className="flex flex-col justify-start">
+          <div className="flex w-full justify-between">
+            <div className="mb-2 text-xl font-semibold text-mineshaft-100">
+              KMS Encryption Strategy
+            </div>
+          </div>
+          <div className="mb-4 max-w-sm text-sm text-mineshaft-400">
+            Select which type of encryption strategy you want to use for your KMS root key. HSM is
+            supported on Enterprise plans.
+          </div>
+
+          {!!rootKmsDetails && (
+            <Controller
+              control={control}
+              name="encryptionStrategy"
+              render={({ field: { onChange, ...field }, fieldState: { error } }) => (
+                <FormControl
+                  className="max-w-sm"
+                  errorText={error?.message}
+                  isError={Boolean(error)}
+                >
+                  <Select
+                    className="w-full bg-mineshaft-700"
+                    dropdownContainerClassName="bg-mineshaft-800"
+                    defaultValue={field.value}
+                    onValueChange={(e) => onChange(e)}
+                    {...field}
+                  >
+                    {rootKmsDetails.strategies?.map((strategy) => (
+                      <SelectItem key={strategy.strategy} value={strategy.strategy}>
+                        {strategies[strategy.strategy]}
+                      </SelectItem>
+                    ))}
+                  </Select>
+                </FormControl>
+              )}
+            />
+          )}
+        </div>
+
+        <Button
+          className="mt-2"
+          type="submit"
+          isLoading={isSubmitting}
+          isDisabled={isSubmitting || !isDirty}
+        >
+          Save
+        </Button>
+      </form>
+      <UpgradePlanModal
+        isOpen={popUp.upgradePlan.isOpen}
+        onOpenChange={(isOpen) => handlePopUpToggle("upgradePlan", isOpen)}
+        text={(popUp.upgradePlan?.data as { description: string })?.description}
+      />
+    </>
+  );
+};
--- a/package-lock.json
+++ b/package-lock.json
@@ -7,7 +7,8 @@
 			"name": "infisical",
 			"license": "ISC",
 			"dependencies": {
-				"@radix-ui/react-radio-group": "^1.1.3"
+				"@radix-ui/react-radio-group": "^1.1.3",
+				"secrets.js-grempe": "^2.0.0"
 			},
 			"devDependencies": {
 				"@types/uuid": "^9.0.7",
@@ -1392,6 +1393,12 @@
 				"loose-envify": "^1.1.0"
 			}
 		},
+		"node_modules/secrets.js-grempe": {
+			"version": "2.0.0",
+			"resolved": "https://registry.npmjs.org/secrets.js-grempe/-/secrets.js-grempe-2.0.0.tgz",
+			"integrity": "sha512-4xkOIaDAg998dTFXZUJTOoVbdLHfB818SMeLJ69ABccgGEKokxsoRFupAFfAImloUSKv4QUGNMgKVbKMf6z0Ug==",
+			"license": "MIT"
+		},
 		"node_modules/shebang-command": {
 			"version": "2.0.0",
 			"resolved": "https://registry.npmjs.org/shebang-command/-/shebang-command-2.0.0.tgz",
@@ -2457,6 +2464,11 @@
 				"loose-envify": "^1.1.0"
 			}
 		},
+		"secrets.js-grempe": {
+			"version": "2.0.0",
+			"resolved": "https://registry.npmjs.org/secrets.js-grempe/-/secrets.js-grempe-2.0.0.tgz",
+			"integrity": "sha512-4xkOIaDAg998dTFXZUJTOoVbdLHfB818SMeLJ69ABccgGEKokxsoRFupAFfAImloUSKv4QUGNMgKVbKMf6z0Ug=="
+		},
 		"shebang-command": {
 			"version": "2.0.0",
 			"resolved": "https://registry.npmjs.org/shebang-command/-/shebang-command-2.0.0.tgz",
--- a/package.json
+++ b/package.json
@@ -24,6 +24,7 @@
 		"husky": "^8.0.3"
 	},
 	"dependencies": {
-		"@radix-ui/react-radio-group": "^1.1.3"
+		"@radix-ui/react-radio-group": "^1.1.3",
+		"secrets.js-grempe": "^2.0.0"
 	}
 }